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WPRT: Its Position As A Global Tier 1 OEM Supplier

IN FOCUS: WESTPORT FUEL SYSTEMS AND ITS POSITION AS A GLOBAL TIER 1 ORIGINAL EQUIPMENT MANUFACTURER (OEM) SUPPLIER

The alphaDIRECT Insight

As alternative fuels are starting to become a critical part of OEMs’ product portfolios, we believe that Westport Fuel Systems owns a significant portion of the global alternative fuel vehicle volumes with its LPG, CNG and LNG fuel systems. As a fully integrated Tier 1 supplier, Westport Fuel Systems supplies customers with products, processes, quality and availability while aligning with the OEM’s high expectations of strict process control and standards. We believe that Westport Fuel Systems Emer brand in particular is a leader in the OEM high pressure component market driven by its strong team, long-standing OEM relationships with credible technology, together with its flexibility to meet customers’ expectations and demand globally.

Shawn Severson: First, I would like to thank you for taking the time to speak with us today. This is our third alphaDIRECT Management series with Westport Fuel Systems and our focus will be on the Transportation segment and Westport Fuel Systems leading position as a global Tier 1 OEM supplier for alternative fuel component and systems. Today we will focus on the OEM light-duty business which leverages the established product brand, Emer and next we will focus on our independent aftermarket segment and brand positioning. Fabio, could you start by giving us a brief introduction of yourself and what brought you to Westport Fuel Systems?

Fabio Vesentini: Thank you for this opportunity. For the first 20 years of my career, I worked as a professional engineer within the automotive Tier 1 OEM market, through different commodities and technologies. I was introduced to alternative fuels in 2009 when I joined Emer as the sales and marketing director. A year later, we were acquired by Westport and I was given the responsibility of internal sales and marketing within the Emer group. When Westport merged with Fuel Systems in 2016, the company decided to create a fully dedicated OEM business within the light-duty operations. Today, as the Vice President of OEM Light-Duty, I have the full profit and loss responsibilities for the OEM light-duty business, in addition to being the General Manager of our operations in Brescia, Italy, which is our OEM “Centre of Excellence”.

Shawn Severson:  Thank you, Fabio.  How is the automotive business environment today in regard to alternative fuels and how are Westport Fuel Systems and the Emer brand positioned?

Fabio Vesentini: The automotive OEM strategy and vision has been changing in recent years and alternative fuels have started to become a critical part of OEMs’ product portfolios. Several macro trends are driving the rapid change, including limitations on vehicle emissions and electrification. The alternative fuel system supply chain has to adjust to align with the OEMs’ expectation of high-quality product with strict process control and standards, which is to be expected from a Tier 1 supplier. We are proud to be a full-fledged Tier 1 supplier to provide customers with Tier 1 products, processes, quality, and availability. Westport Fuel Systems, with its LPG, CNG, and LNG fuel systems, owns a significant portion of global alternative fuel vehicle volumes. We offer market ready solutions to address the environmental challenges by reduced vehicle emissions and total ownership cost in the light-, medium- and heavy-duty vehicle market. Within the Westport Fuel Systems group, Emer is a leader in the OEM high pressure component market.

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